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Fachelli y Montolio 2015
Fachelli y Montolio 2015
3690
Social and Technological Sciences ISSN: 2341-2593
Abstract
This article examines the factors that influence graduate valuations of the
education/training they received at university in terms of its utility or applicability in
the workplace. Drawing on the 2014 survey conducted by the Agency for the Quality
of the Catalan University System, among students that graduated in 2010, we test
three hypotheses. The first states that graduate valuation of the training received at
university in terms of its utility for the workplace is higher among those who are
currently employed in high quality jobs; the second that this valuation is higher
among graduates employed in higher occupational categories; and, the third, that
higher valuations are given by individuals with better academic records. The
methodology used to test the three hypotheses is based on both descriptive and
econometric techniques that allow us to control for specific individual characteristics
and specific characteristics of the degree subjects studied. Preliminary empirical
results allow us to verify two of the three hypotheses. The main contribution of this
paper is to provide some initial insights into a relationship not frequently examined
in the literature and to offer some empirical evidence that counters the typical
“matching” standpoint taken on the relationship between education/training and level
of employment.
Keywords
Higher education; training valuation; labour insertion; university graduates
1. Introduction
This article examines the factors that influence graduate valuations of the education
or training they received at university in terms of the satisfaction they derive from their
work. The question under examination is highly complex, especially given that we are
dealing with a subjective, self-report measure (i.e., the satisfaction derived) of the
training/education received at higher education institutions in relation to the jobs being
undertaken by recent graduates.
The question that concerns us is intimately connected with the broader analysis of
“job satisfaction” and its determinants, an issue that has been addressed by many
empirical studies conducted in countries around the world (see Gamero, 2003, and
references therein for a review). Job or occupational satisfaction is not readily measured,
nor are its principal determinants readily accounted for and explained. The complexity is
in part attributable to the fact that we need to address the graduates’ particular working
conditions, with special attention to the structural characteristics of the job (contract type
and duration), the degree of match between the job and the graduate’s degree and salary,
among others.
In this paper, therefore, we focus specifically on how recent graduates from Catalan
universities value the training/education they received at university with respect to the
work they are currently performing, a relationship that has not received direct attention in
the broader literature examining job satisfaction.
Previous studies undertaken in Catalonia, based on an indicator developed by Mañé
and Miravent (2007), found that a high percentage of graduates from Catalan universities,
now in full-time employment, considered (interviews conducted in 2011) that they were
appropriately educated for the job that they did (79.6%). At the same time, 13.6%
believed they were over-educated, while the remaining 6.8% considered themselves to be
mismatched. No significant differences were recorded in these responses by gender (see,
Planas and Fachelli, 2010).
Section 4 reports the main empirical results found on performing the estimations. Finally,
Section 5 discusses these results and concludes.
2. Theoretical framework
As discussed above, the determinants of graduate valuations of the training/education
received while completing their degree courses share obvious ties with the more general
subject of worker job satisfaction. This broader assessment of individual job satisfaction
incorporates factors from psychology and sociology, including, personality traits,
personal relationships, recognition and prestige in the workplace, social support, health
and environmental conditions, social protection and exercise of fundamental labour
rights, which hinder its analysis and make constant reassessments necessary.
In this framework, the valuation of the training/education received in relation to the
current job can be considered an important part of the assessment of job quality and as an
aspect that needs to be evaluated from the perspective of employers and society in
conjunction with the perception of the employee (International Labour Organization,
2004; Seashore, 1974).
There is a vast literature examining the determinants of job satisfaction but there is a
general consensus that, among other factors, it is dependent on the qualifications required
to be appointed to the post, i.e., that the functions that have to be fulfilled in the job are in
accordance with the qualifications required (for instance, holding a university degree). In
general, and in line with AQU (2014), it would seem that workers express a higher level
of satisfaction with jobs that require specific higher education qualifications and a lower
level of satisfaction with jobs that do not require a university degree. The reason for this
may well be the valuation that workers give of the training received at an institution of
higher education and which is required to access those jobs that require a specific degree.
However, the literature examining the valuation of the training received in relation to
the job held is far less abundant. In general, and apart from obvious individual
while students may have acquired these skills, they are not always conscious of the
corresponding learning processes, which makes it more difficult for workers to assess
them in terms of their current job. In this instance, the main research approach involves
examining the match between level of skills and job position (McGuiness, 2006; Sattiner,
1993), what this strand of the literature refers to as the “matching perspective”; that is, for
every level of education there is a corresponding employment category. In what is clearly
a normative assumption, the match corresponds to the optimal exchange between
employers and employees in the labour market. There has been much criticism levelled at
this approach because of its attempts to establish a direct relation between workers’
education and training and the requirements of a job position, without taking into account
the role played by agents and institutions in that relationship (Raffe, 2001; Planas, 2014).
Within this context, and as pointed out above, we seek to determine if the evaluation
of such training is dependent on occupational quality, occupational position and the
academic performance of graduates. In the case of this last variable, we would expect
graduates with a better academic record to present a better match with their jobs (i.e.,
training vs. tasks performed), since they would enjoy a wider range of employment
opportunities. It is also possible that these “more skilled workers” are capable of more
sophisticated assessments of the utility of their prior training in relation to their current
work. A similar reasoning could be applied to the case of employment quality and
occupational position. In principle, we would expect to find a relationship between better
job positions and the evaluation that workers have of the training received at higher
education institutions, if that training was the means that allowed them to take up a
specific job or position. However, the answers to these questions lie in the data and, so,
our aim here is to determine whether these relations hold for the graduates of Catalan
universities.
where i refers to the individual graduates in our dataset and Y is our dependent variable
accounting for the individual valuation of the training received in relation to its utility for
the current job. X is the vector containing the study’s three main variables, namely,
variables accounting for the “occupational quality”, “occupational category” and
“academic performance” of the graduates. Z is a set of individual control variables that
include sex, age, parents’ level of education, type of degree, degree duration and degree
awarded/place of graduation. Finally ε is an error term that ideally should be i.i.d.
distributed. Eq (1) is estimated using the traditional OLS technique. The qualitative
variables in our model are codified as dummy variables. The R2 informs us about the
goodness-of-fit of each of the estimated models.
Our dependent variable is the average score given by graduates when they were
asked to evaluate the quality of a specific competence acquired at university (from 1 very
low to 7 very high) in relation to its applicability to his/her job at the moment of
answering the survey. The 14 competences are: “theoretical learning”; “practical
learning”; “oral expression”; “written expression”; “teamwork”; “leadership”; “problem
solving”; “decision-making”; “creativity”; “critical thinking”; “management skills”;
“computing skills”; “languages” and “documentation skills”.
We work with three main variables. The first, the index of occupational quality (see
Corominas et al., 2007) summarizes the quality of the labour market outcomes of
university graduates and combines the type and duration of the contract of employment,
the salary, the match (suitability) between the graduate’s university studies and job, and
job satisfaction in general. The index ranges between 0 and 100, with the lowest values
reflecting a lower quality of labour market outcomes and the highest value representing a
higher quality.
The second variable, occupational category (see Table 2), groups the nine categories
making up the Spanish National Classification of Occupations (NCO) in three broad
bands. These three occupational categories seek to group workers by overall skill level
(note that the NCO itself classifies occupation categories from more skilled to less
skilled).
The third variable, academic performance, which originally comprised four
categories (Honours, Excellent, Good and Pass) was regrouped into three by combining
Honours and Excellent into a single group given the small number of students obtaining
these two grades (see Table 3). Note, however, the variable academic performance is self-
reported by the graduates, that is, it is not based on university records. As for the expected
impact of this variable, Planas and Fachelli (2010) report that the entrance grade and the
student’s academic record present a very weak relationship with the graduates’ mean
assessment of their university education and the skills required in their job.
In the case of the control variables, sex, age and socio-economic background
(measured by parental education) are directly available from the dataset. The socio-
economic background has been analysed for the Spanish case but there does not seem to
be a statistically significant relationship between this variable and employability (see
Carabaña and de la Fuente, 2015; Torrents y Fachelli, 2015; Fachelli, Torrents y Navarro-
Cendejas, 2015, Navarro-Cendejas, 2013; Fachelli y Planas, 2014). Here, we analyse the
impact of the graduates’ socio-economic background on their assessment of the training
received at university in relation with the satisfaction derived from their work. Degree
length was constructed by subtracting the initial year of matriculation from the year of
graduation. The degree awarded/place of graduation variable differentiates, on the one
hand, between the Degree in Public Administration (GAP) and the Law Degree (the
graduates of which courses are the specific focus of this study) taught within the UB Law
Faculty and, on the other, between all other degree courses taught at the UB Law Faculty,
all other UB degrees and finally all other degrees taught within Catalonia’s Public
Universities.
Finally, and to test the robustness of our results we apply the same empirical model
as that presented in Eq. (1) but change the dependent variable; that is, we take as our
dependent variable the results of a more general question regarding the graduates’
valuation of the education/training received but without linking this valuation to its utility
in the actual job position occupied.
4. Results
4.1. Descriptive analysis
First, we undertake a descriptive or exploratory analysis of the dependent variable:
the assessment made by graduates of the training received during higher education with
respect to its usefulness for their work. We also describe the main explanatory variables
of this assessment by focusing on the degree awarded/place of graduation, which proves
of particular interest.
The average assessment of the usefulness of the set of tools received in higher
education in relation to the tasks performed in the current job is 4.36 (on a scale with a
maximum value of 7; that is 6.62 on a decimal scale). This can be interpreted as an
acceptable outcome but one that falls well short of the standard of excellence expected
from higher education institutions (see Figure 1). On average, the assessment given by
GAP graduates coincides with the overall mean, while the UB’s Law graduates are the
ones that value most highly the skills taught at university in relation to the jobs they now
perform.
Figure 1: Assessment of the applicability of knowledge to work by degree awarded/place
of graduation.
Occupational Category Occupational Category Occupational Category Women: 5.1 Men: 4.9
Upper: 5.2 Media: 4.9 Baja: 4.2
Utility for work
Passed: 4.9 Remarkable: 5.1 Excellent: 5.3 Honors: 5.3 Up Primary: 5.0 Media Sstudies: 5.0 Higher Education: 5.1
Educational level of parents
When testing the alternative dependent variable (that is, the assessment of university
training), on average, we obtain higher scores: 5.0 (or 7.14 on a decimal scale) (see
Figure A1 in the appendix). In this case, the GAP and Law graduates valuation of the
knowledge received is on the average as well as the other degrees analysed.
Figure 3 directly compares the two dependent variables and plots the difference for
each specific competence (that is, the difference between the graduates’ valuation of each
component of training received at university and the appraisal of its utility for the current
job).
This comparison highlights certain deficits in university training if we consider that
the use of each of the competences in the workplace should afford the graduates with a
certain degree of satisfaction. However, this “mismatch indicator” may be called in to
question on the grounds that the training provided at university may pursue multiple
objectives, including the general education and personal development of individuals in all
areas of life, and that labour skills constitute just one of the many areas that higher
education should consider. However, the negative values reported in Figure 3 can be seen
as identifying deficits in university education/training if we restrict our interpretation
solely to the demands of the labour market (see Table A1 for the specific values reported
in Figure 3 for each competence and category and for degree awarded/place of
graduation).
Interestingly the results presented by the GAP graduates and the values recorded by
those graduating at all other Catalan public universities are similar; that is, deficits
(negative values) in general with the exception (although not significant) of
documentation skills, teamwork and theoretical learning. This means that graduates only
consider their level of competence in these first two skills as being adequate for the work
they currently undertake. Most notably it is the UB’s Law graduates that report the
greatest deficits across the whole skill set with a marked “mismatch” in their valuations
of computing skills, languages, decision-making and oral expression.
1
In the appendix we present (in Table A2) and analyse the results when our dependent variable is the
valuation of the training/education received at the university.
index of occupational quality explaining 14% and the occupational category explaining
4%).
The graduates who made shorter degrees give lower valuations to the
education/training received, which could be linked to the duration of the degree, a
variable that shows a negative relationship with our dependent variable.
In contrast, we find no differences in valuations when considering the educational
level of parents. This result is interesting and shows further evidence that university
graduates are becoming increasingly independent of the influence of their social origins
as their education level increases (i.e., the higher their educational level, the weaker the
influence of parental status).
The degree awarded/place of graduation variable shows that graduates from the
UB’s Faculty of Law, except for those graduating in GAP and Law itself, and all other
UB graduates report a slightly lower valuation of their training than that reported by
graduates from Catalonia’s other public universities. Here, it might be interesting to
examine the influence of social class, an issue not explicitly addressed here, but one that
should be addressed in future work.
In short, given that the most important variables are the index of occupational quality
and occupational category, we might summarise the findings of this study in the
following sentence: “Tell me what work you perform and I will tell you how you value
the applied skills you acquired at university”.
The theoretical contribution of this paper can be summarized as follows: on the one
hand, we contribute detailed information and empirical estimates to a subject rarely
discussed in the specialized literature, which tends to focus much more on questions of
job satisfaction or the match between training and employment; on the other hand, by
examining the match between graduate competences and employment, we are able to
offer more than a purely technocratic vision of this issue and provide evidence that
contradicts the purely “matching” approach. More specifically we, first, incorporate the
institutional element into our empirical estimation by introducing the specific
assessments that graduates offer of the institution at which they studied. Second, we
include an assessment of the “educational market” that comprises a variety of agents, and
which is typically overlooked from the matching perspective. Third, we deal with two
elements that are often confused and account for questions of both training supply
(received in a specific institution) and labour supply characteristics (measured by the
actual job positions held by the graduates), while we also include a link between the two
elements by valuing the training received in relation to the specific applicability of these
competences to the work done by the graduates at the time of answering the survey.
In terms of education policy, these results are of obvious relevance because,
generally speaking, graduates value positively their own past efforts, at the same time as
they value positively the specific tools available to them in terms of the knowledge and
skills that their university provided them with. Moreover, this assessment has been
carried out not within the field of higher education but within the labour market, and it
clearly points to the positive impact of universities on the job satisfaction of graduates in
terms of the valuation given to the training/education received in higher education
institutions.
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Appendix
Figure A1: Assessment of the knowledge received from higher education institutions by
degree awarded/place of graduation. (All graduates)
Ass
ess
me
nt
of
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ow
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rec
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ed
Table A1: Difference between the valuation of the education/training received (in
general) and the education/training received with respect to its utility in the workplace.
Other Rest of
Difference between degrees in
GAP Law Rest of UB Public Total
valuations the Law
Fac. Unis.
Theoretical learning 0.8438 0.5306 1.4107 0.8905 0.8922 0.8963
Practical learning -0.2813 -0.6804 0.0602 0.0012 0.2483 0.1791
Written expression -0.4063 -0.7959 -0.4881 -0.4026 -0.5050 -0.4836
Oral expression -0.9375 -1.6531 -0.9461 -1.0323 -0.9734 -0.9924
Teamwork -0.0625 -0.7449 -0.4615 -0.6412 -0.4075 -0.4640
Leadership -0.9063 -1.4694 -0.7679 -1.1115 -1.0611 -1.0714
Problem solving -1.0938 -1.2551 -1.0000 -1.1727 -1.0057 -1.0464
Decision-making -0.7188 -1.7653 -0.9394 -1.2080 -1.1840 -1.1896
Critical thinking -0.2813 -0.2857 0.1024 -0.3496 -0.4158 -0.3912
Creativity -0.9063 -1.2857 -0.4671 -0.7297 -0.6936 -0.7043
Management skills -0.8438 -1.3265 -1.0419 -1.0146 -0.9795 -0.9911
Documentation skills -0.1563 -0.9184 -0.2410 -0.2361 -0.2968 -0.2871
Languages -1.5000 -2.0510 -1.5298 -1.6682 -1.6618 -1.6642
Computing Skills -1.1563 -2.3878 -1.6488 -1.3057 -0.9334 -1.0433
Regarding the results reported in Table A2 the goodness of fit of the model is very low at
around 5%. The results for the three main variables of interest are statistically significant
except in the case of academic performance classed as Excellent and Honours.
The index of occupational quality has a positive impact, but the occupational
category presents the expected opposite tendency. Finally, academic performance also
presents a positive estimate: graduates with a good (self-report) academic record value
more highly the education/training they received at university.
As for the other control variables, we find that socio-economic background of recent
graduates (measured by their parents’ level of education) only affects the valuation when
the parents have completed studies of higher education. Age is not significant and degree
length presents a negative impact: graduates who made shorter degrees value less the
education/training received at university. In the case of the variable capturing degree
awarded/place of graduation, we observe that GAP graduate valuations do not differ
from those of the reference category (i.e., all other graduates from Catalonia’s public
universities excluding the UB). In contrast, the graduates form the rest of places show a
lower valuation.
It is perhaps worth stressing that when graduates are asked to value the education
they received at university, they might understand this in a more global sense and so
assess many elements including their own performance, the expertise of teachers, their
family’s socioeconomic situation at that time, etc., whereas when asked to value the
applicability of this knowledge to their current job, the focus is much more specific. In
this sense, when responding to the more general question the current job and all its
characteristics are irrelevant in the graduates’ valuation of the training received.